CHARITABLE GAMING

HIGHLIGHT$

CHARITABLE

GAMING

J U N E 2 0 1 4

V O L U M E 2 7 , I S S U E 1

ur veteran and fraternal clubs have been around for a

very long time. Many were founded over 100 years

ago. A century! Consider the number of wars that have

been fought, men and women who have served, and laws

that have changed. They saw the fall of communism and

the explosion of technology. It’s almost unimaginable the

same organization with the same purpose could exist for

that long.

Unfortunately, the last several years have not been

prosperous to clubs. Some report that the people who have

been keeping the club going are now “aging out,” as is much

of the membership. But unlike the past, there is no next

generation waiting to take over. New membership is more

critical than ever to the survival of the club, but how do you

attract those new members?

Several clubs took advantage of the smoking ban and gave

themselves a facelift, painting their walls, replacing carpets,

draperies and chairs, and it paid off for many! The clubs

smelled fresher and looked nicer; when people saw the

changes they wanted to stay longer and come again. Invite

the community in to see your improvements and maybe you

can get some new members out of the deal!

Reach out to the public by hosting weekly dinners, Easter

egg hunts, Christmas parties, picnics, car shows, and

fundraisers to support causes that members are interested

in. Host a blood drive, food bank or farmer’s market. Install

WIFI. Make your club family friendly. These new younger

members prefer clubs that are family-friendly or at least

somewhere they can come with their partner. Any event to

keep your club open, service the community and attract new

membership in the process is an event worth having.

Consider the following questions as they pertain to your

membership. Are new people greeted when they walk in the

door? What will members be able so share with them about

your organization? Will they hear about the great things

your organization is doing in the community? What can

potential new members find at your club that they can’t find

somewhere else?

Answer these questions as they pertain to your current

membership. Are you working at keeping your current

membership? Do you know why they originally joined? Was

it socializing, volunteering or working toward a common

goal? Are their needs still being met? Do you consider

all ideas brought to your attention? If your membership

is declining, you have little to lose by trying some new

ideas.

An organization with many members should have

events and activities that reflect the ideas of those

members. If your members are happy, they are more

likely to share their enthusiasm about their club with

others. And encourage volunteerism by recognizing

even the smallest efforts with appreciation.

Show the community what your club is all about. Make

it a place people will want to come and hang out. Perk

it up with new paint, tablecloths, or drapery. Get

members excited about your club by listening to their

ideas and keep the good times rolling for the next 100

years.

The Van Buren Eagles have drawn in new members,

reporting an estimated 10% increase since June 2013.

When the principal officer, Gary Smith was asked for

advice he said, “Run it as a family.” They have karaoke

every Friday and even allow the little ones to join in the

fun from 8-10pm. An entertainment committee is open

and supportive to the ideas of its members, bringing

many to fruition.

Gary says, “We don’t care if you have been here for ten

minutes or ten years. When you walk in the door, you

are family. No one sits alone.” He reports their

members are very involved and want to help out. They

even had some members that reupholstered chairs in

the club room. They host special events about once a

month, some promoting Autism Awareness.

On June 21 the

Eagles hosted a

“ W o o d s t o c k

Revisited” 21-and-

over event, which

featured seven live

band s, karaoke

during the breaks,

Performer Lemon James poses with attendees.

c h a r i t y g a m e

tickets, 50/50 raffles, food, and drinks. The grand

finale was the “burning of the hot dog stand.”

HIGHLIGHT$

CHARITABLE

GAMING

V O L U M E 2 7 , I S S U E 1 J U N E 2 0 1 4

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Ticket Variety at Clubs

ost veteran and fraternal clubs sell charity game tickets from a ticket dispensing machine under an

annual charity game license. A 2013 report listed tickets sold by annual charity game licensees by

descending revenue. The clubs with ticket sales in the top half offered an average of ten different tickets

during the year. In comparison, clubs in the lower half offered an average of only five different tickets. Another

notable difference was that those with the highest sales were more likely to offer $2 tickets and twice as likely

to offer $5 tickets.

So what does this mean for your club? Turning over a larger variety of tickets in your ticket dispensers—and

especially offering tickets at all price points—has been key in higher sales and profitability.

It is also interesting to note how the average $10 is spent at a ticket dispenser, as depicted below:

tickets

50¢

tickets

New $5 Ticket

oming in July, the Queen of Hearts will be walking down the red

carpet and will take the throne from Buried Treasure. Her majesty

will accompany the long-time ruler of the $5 tickets, Michigan Wild.

Queen of Hearts boasts five big winners, contains several multiple

winners, and has just 1,000 tickets so a deal will sell quickly. Let your

supplier know you’d like a box as soon as it becomes available.

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MICHIGAN LOTTERY — CHARITABLE GAMING DIVISION www.michigan.gov/cg

Tickets & Tents by Abby Harvey

here are over 500 festivals and fairs held already obtained a Large Raffle License, no additional

throughout Michigan each year. They easily license is required.

generate crowds in excess of 10,000 with some of the

The following license types allow you to sell charity

biggest festivals pushing 100,000 or more in

game tickets at a special event: Special Bingo

attendance. People come from local communities,

License, Large Raffle License, and Special Charity

other areas of the state, and even other areas of the

Game Ticket License. Sales may be conducted at the

country to enjoy these exciting and vibrant events. If

location you specify on the application, and during

your non-profit is involved in a community event, you

the times and on the dates listed.

may want to learn more about how charity game

Prior to conducting charity game ticket sales, please

tickets can complement your other fundraising

consider attending one of the training meetings which

activities. Charity game ticket sales can be conducted

are scheduled approximately once a month at various

anywhere within a festival or fair.

locations around the state. Each includes a segment

If your non-profit sponsors a bingo tent at a

covering charity game ticket sales. To view our

festival or fair, charity game tickets can be

training schedule, visit our website at

sold both in the bingo tent and just outside

www.michigan.gov/cg or see the last page of this

the tent for those not playing bingo. A beer or activity

publication. Applications and additional information

tent, grandstand, and food court could all be ideal

are also available on our website.

locations to offer charity game tickets as well. No

additional license is needed to sell tickets in these

other areas if you have already obtained a Special

Special Events Ticket

Bingo License.

Guitars & Cadillacs is designed

If you decide to sell tickets at a festival or fair, think

for quick turnover at festivals,

about creating a banner, or if you’re tech savvy,

fairs, and special events. Clubs

and bingos may also enjoy this

setting up an electronic display that shows examples

fast selling ticket. With only

of how the proceeds directly benefit the community.

1,200 tickets, it offers three top

Many people may not know what a charity game ticket

prizes of $125 each.

is or that the proceeds benefit your organization. Take

Guitars & Cadillacs would be a

the time to explain to new players how charity game

great ticket for service, local

tickets work, let them know how much it means to

civic, and church organizations

your non-profit, and thank them for their purchase.

to sell at one-time events. Any

non-profit that obtains a

Many organizations sponsor special

Special Charity Game Ticket

fundraising events of their own

License, a Special Bingo

throughout the year, such as golf

License, or Large Raffle License

outings, banquets, black tie events, galas, etc. These

may temporarily sell tickets at

events provide an opportunity to use charity game

the location and during the

tickets to raise additional proceeds. If you have

time specified on the license.

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CHARITABLE

GAMING

V O L U M E 2 7 , I S S U E 1 J U N E 2 0 1 4

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he Playing Card Progressive Raffle has risen in popularity with many charitable organizations in the past

few years. The raffle is commonly referred to as a Jack of Spades, Queen of Hearts, or King of Diamonds

raffle. The raffle is conducted using a deck of playing cards placed into sealed envelopes which are numbered

1 through 52 (54 if jokers are included). Each week a drawing is held and the winner of the drawing indicates

which envelope number they would like revealed. If the card corresponding with the winning jackpot is not in

that envelope, the jackpot prize carries over to the next occasion. Based on the organization’s house rules, a

consolation prize may be awarded. The raffle is over when the jackpot card is revealed and the jackpot prize is

awarded. After the jackpot prize is awarded a new progressive can be started for the remaining dates listed on

the license.

The Playing Card Progressive Raffle directive must be followed and can be found on Charitable Gaming’s web

site at www.michigan.gov/cg. Below are topics to consider to ensure a successful progressive raffle.

Integrity

Make the public aware of the

security methods that are used to ensure

the integrity of the raffle. Following the

guidelines of the directive will help prevent

insider information.

Selling Tickets

Raffle ticket sales are not limited to

the drawing location. Tickets can be sold

at local businesses. Ask members to sell

tickets to family, friends, neighbors and

coworkers.

Groups that have conducted Playing Card

Progressive Raffles suggest getting the

license early enough to allow three to five

weeks before the very first drawing to sell

tickets which will help boost the jackpot

prize for the first occasion. State law

requires that you must be 18 years of age

to sell raffle tickets.

Game Records

For each drawing date, the organization is required to

complete the Progressive Raffle Accountability form

electronically.

Purchasing Tickets

Raffle ticket purchasers must be 18 years of age.

Owners and employees of a for-profit location where the

drawing occurs and chairpersons that perform the sealing of

the playing cards are prohibited from purchasing raffle

tickets.

Prizes

When determining the prize structure, any consolation

prizes must be included in the calculation of raffle prizes.

Total prizes can be less than, but cannot exceed 70% of the

raffle sales.

We recommend limiting consolation prizes. Start off with low

early consolation prizes and increase as the jackpot

increases. Be sure all consolation prizes are identified in the

house rules.

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MICHIGAN LOTTERY — CHARITABLE GAMING DIVISION www.michigan.gov/cg

The Most Successful Bingo Tickets

he most popular tickets sold in recent months are all bingo-interactive games—Lucky Bingo Balls, Derby

Downs, and “Pay Me” Pack. These have instant winners plus HOLD tickets that are played along with a

predetermined bingo game or separate drawing of balls.

Bingo-interactive charity game tickets can benefit any bingo program. In fact, eliminating a bingo game that is

not profitable will face less resistance if it is done when adding an interactive game to your program. Timing is

everything! Promote a party at an upcoming session that would have a holiday or summer-time theme and

introduce the new program with a new interactive charity game.

If you can sell more than one deal of tickets before the associated bingo game begins, all sold deals can be

played with that bingo game. Announce the serial numbers of the games being played clearly to all players

before the game begins. In the case of “Pay Me” Pack, in addition to announcing the serial number, clearly

indicate which sets will be played (e.g., Pay Junior and Pay Granny).

Lucky Bingo Balls

Each “HOLD” ticket

contains 3 unique

bingo balls.

320 tickets per deal

Derby Downs

Each “HOLD” ticket

contains 5 numbers

from a “down line”

on a master board.

320 tickets per deal

“Pay Me” Pack

Each “HOLD” ticket contains 3 unique bingo balls.

800 tickets per deal (4 sets with 200 tickets each)

Charitable Gaming News Feed

on’t miss out on important announcements that may impact charitable gaming in Michigan, including

any regulatory changes. Subscribe to the Charitable Gaming Division’s news feed to be notified of

upcoming training meetings and the latest on bingos, raffles, and charity game tickets.

Go to www.michigan.gov/cg, click on the red envelope on the left side of the screen, enter your

email address, and check your areas of interest. You can make changes at any time.

HIGHLIGHT$

CHARITABLE

GAMING

V O L U M E 2 7 , I S S U E 1 J U N E 2 0 1 4

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he Michigan Progressive Jackpot Bingo Game

can pay out huge prizes and generate large

crowds. It offers benefits to all bingo games

regardless of their attendance, and can be a great

benefit to smaller games that cannot afford to pay

out large jackpot prizes.

The jackpot prizes and the consolation prizes

awarded through the Michigan Progressive Jackpot

Bingo Game are not subject to the $1,100 per game

and $3,500 per occasion prize limitation. Refer to

Directive 3.01.03 Michigan Progressive Jackpot

Bingo Game. Some licensees link their progressive

game with that of other bingo licensees for the

purpose of a faster growing jackpot prize. This is

outlined in Directive 3.06.03 Michigan Progressive

Jackpot Bingo Game (Manually Linked Bingo game).

Organizations starting the Michigan Progressive

Jackpot Bingo Game did so by trial and error. Many

licensees began this game using the maximum

payout amounts allowed. They seeded the jackpot at

$500 and paid out a weekly consolation prize of

$100. This is still common—but is it profitable?

Some organizations are playing this game without

knowing if they are making a profit.

When using the Bingo Profitability Tool (available on

the Charitable Gaming Division website) several

bingo chairpersons have realized their Michigan

progressive jackpot bingo game was not profitable.

To improve profitability, many have adjusted card

costs or consolation prize amounts.

As an inspector who visits many organizations—both

large and small, I have seen many clever and

profitable Michigan Progressive Jackpot Bingo

Games conducted. The directives state that once the

Michigan Progressive Jackpot Bingo Game has been

started, the Michigan progressive jackpot prize shall

be offered at each successive bingo occasion for that

licensee until the prize is won. Once the prize has

been won the house rules can be rewritten and the

game changed.

One organization played what they called a

“Progressive-Progressive” quite successfully. The first

week at 50 numbers, a 4-on sold for $1. The second

week at 51 numbers, that same 4-on sold for $2.

Adding $1 each week until the prize was won. At 60

numbers the 4-on sold for $10. By conducting the

game in this manner the organization was able to pay

out huge jackpot prizes. By increasing the cost it

reduced the number of cards on the floor late in the

progression when the prize was high. This limited the

chances of a jackpot winner and allowed the prize as

well as the progressive number to build.

Maybe you think an increase of $1 each week is a little

high for your players. Why not try one price when 50 to

55 numbers are called? Then when it gets to 56

numbers, double the price of the card. At 56 numbers

the jackpot is within reach and the players won’t mind

paying a little more for a chance at winning the prize.

The consolation prize can also be adjusted to help

make your game profitable. Between 50 to 55

numbers set the consolation prize at $100, but at 56

numbers or more drop the consolation down to $25.

The players are no longer playing for the consolation

prize when the number reaches 56 or more, they are

playing for the big prize.

I have also seen consolation prizes paid based on the

attendance. 50 players paid $50 while 90 players

paid $90.

Putting a little bit of thought and analysis behind

designing a Michigan progressive jackpot game for

your organization may result in a real winner for both

the players and your organization.

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MICHIGAN LOTTERY — CHARITABLE GAMING DIVISION www.michigan.gov/cg

Administrative Actions

Annual Charity Game Licenses

American Legion 233 Lake Orion Suspended License 1/05/14—1/18/14

Eagles 1269 Harrison Township Suspended License 1/05/14—2/01/14

VFW 2964 Reed City Suspended License 1/23/14—1/25/14

American Legion 368 Morenci Suspended License 1/26/14—2/01/14

Eagles 2441 Dowagiac Suspended License 5/11/14—5/17/14

Bingo Licenses

Moose 1036 Women Lincoln Park Suspended License 2/09/14—2/22/14

Moose 1665 Lincoln Park Suspended License 2/09/14—2/22/14

Eagles 3814 Burton Suspended License 4/10/14—4/12/14

VFW 4005 Corunna Suspended License 4/13/14—4/26/14

he Community Room at the Wyoming Senior

Center has undergone an impressive

makeover! The room, which is used for a weekly

Wednesday afternoon bingo session, has been

upgraded with new chairs, tables, lighting, floors

and state-of-the-art computerized bingo

equipment. To replace the traditional bingo

boards, three overhead projectors have been

installed. These projectors each display the bingo

board, in a much larger scale, on walls of the room. In addition, the new softer lighting makes the atmosphere

very relaxing and pleasant.

The Charitable Gaming Division will be presenting a training session at the Wyoming Senior Center on Tuesday,

August 26, 2014. This training will cover information on raffles, charity game tickets and bingo, and is

scheduled to begin at 1:00pm. No pre-registration or fees are required.

Don’t wait until August to check out the Wyoming Senior Center’s new look! The bingo session is open to the

public, and starts each Wednesday at 12:45pm with an early bird game. The session continues with other

exciting new additions, such as electronic bingo machines, double action games and a hot ball prize.

Training Meetings

he following training meetings will include bingo, annual charity game, special charity game, and raffle

license information. All meetings are from 1-4 p.m. For any changes or additions, check our website.

Michigan Lottery

Charitable Gaming Division

July 9

American Legion 49

129 Michigan Ave

South Haven

August 26

Wyoming Senior Center

2380 De Hoop Ave SW

Wyoming

September 16

American Legion 141

3265 W Grand River

Howell

October 1

Eagles 3306

2355 W Sherman

Muskegon

November 5

Elks 2567

200 E Nepessing St

Lapeer

December 10

Boys & Girls Club

300 West Lafayette

Bay City